E85 fuel costs less than petrol, but here’s the fuel-efficiency reality

India has officially entered the E85 fuel era. Recently, the country’s first E85 fuel dispenser was inaugurated in Delhi, with the fuel priced at Rs 82.12 per litre. That makes it roughly Rs 20 cheaper than regular E20 petrol in the national capital. On paper, that sounds like a major win for running costs. But there is another side to the story that buyers need to understand: fuel efficiency.

E85 petrol fuel efficiency explained

E85 fuel is a blend containing 85 percent ethanol and 15 percent petrol. Ethanol is usually produced from sugarcane, maize and other agricultural feedstock. However, while E85 fuel is significantly cheaper than petrol, vehicles running on it usually return lower mileage. The reason lies in the basic energy content of ethanol itself.

Petrol contains more energy per litre than ethanol. Ethanol burns cleaner and has a higher octane rating, but it also carries lower calorific value. In simple terms, an engine needs to burn more ethanol-based fuel to generate the same amount of energy that regular petrol can produce. This directly impacts kilometres per litre.

Globally, flex-fuel vehicles running on E85 typically deliver around 20 to 30 percent lower fuel efficiency compared to pure petrol, depending on driving conditions, engine tuning and vehicle type. Real-world losses can vary. Some engines calibrated specifically for ethanol blends may minimise the difference, but the drop in mileage is still noticeable.


For example, if a petrol motorcycle delivers 50 kmpl on regular fuel, the same bike could see mileage figures drop into the 40-42 kmpl range when running on E85. But this does not automatically mean running costs become higher. The actual savings will depend on the final fuel price, vehicle efficiency and usage pattern. For daily commuters covering long distances, especially two-wheeler users, E85 could still reduce monthly fuel bills if the price gap remains large enough. At present, however, there is another major limitation: vehicle compatibility.

Only a handful of vehicles in India can currently run on E85 fuel. Hero MotoCorp recently launched the Splendor+ Flex Fuel and HF Deluxe Flex Fuel motorcycles, both compatible with ethanol blends up to E85. Suzuki already sells the Gixxer SF 250 FFV in India, which can also operate on higher ethanol blends. Maruti Suzuki has additionally showcased the Wagon R Flex Fuel, though pricing and launch timelines are yet to be announced.

Infrastructure is another challenge. At the moment, E85 fuel availability remains extremely limited. The government has announced plans to scale up ethanol fuel infrastructure aggressively, with around 500 ethanol dispensing stations expected by the end of 2026 and nearly 5,000 outlets targeted by 2027.